Axis in 2 minutes. 179 countries. 40 countries. 70 countries. Global company with local presence. Our products in the world

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1 Axis at a glance

2 Axis in 2 minutes Axis is the market leader in network video and a driving force behind the shift from analog to digital video surveillance, which paves the way for a more secure, smarter and safer world. Axis offers network video solutions for professional installations featuring products and solutions that are based on innovative and open technical platforms. Our products in the world Global company with local presence Axis network video products are installed in public places and areas such as retail chains, airports, trains, motorways, universities, prisons, casinos and banks. Axis is a Swedish-based company, which acts globally via its own offices, representatives and well-developed collaboration with partners. Collaboration with more than 50,000 partners in 179 countries Employees in more than 40 countries Distributors in 70 countries

3 Invoicing per region, 2012 Americas 50 % EMEA 38 % Asia 12 % 1,403 employees Market leader Axis retained its position as clear market leader in network cameras and Axis also achieved a market leader position in the category surveillance cameras and thereby strengthens the company s position on the surveillance camera market. *The 2011 edition of IMS Research s report The World Market for CCTV and Video Surveillance Equipment. SEK 4,184 M Sales 2012 Our product portfolio Axis was the first company in the world to launch a network camera in 1996, initiating the shift from analog to digital technology. The majority of Axis sales are generated by the video product area; network cameras, video encoders, accessories and application software. Our vision Innovating for a smarter, safer world Follow Axis on:

4 Market Digital shift in a rapidly growing market The market for network video is growing rapidly in line with increasing needs for surveillance solutions. Axis is market leader in network video and is well-positioned to take advantage of the growth opportunities. During 2012, demand for network cameras increased in all regions and end customer segments, with especially strong growth within transport, retail and city surveillance. The customers are mainly within the security sector, but are also found in other sectors where a need exists for remote monitoring and optimizing of business processes. The market is considered to have major growth potential. Apart from security installations, growth is anticipated within new fields of application and new customer segments for network video, for example, inventory management and measurements of customer behavior in the retail sector and remote monitoring within healthcare. IMS Research* ranks Axis in the report as the market leader within network cameras. Axis has reached this position through solid know-how about products and solutions, well-established sales channels, good relationships with partners and a portfolio featuring innovative products. In the same report IMS ranked Axis as number one in the category of surveillance cameras, including analog as well as network cameras, compared to number three in the previous IMS report. Thereby Axis strengthens its position on the surveillance camera market. * The 2011 edition of IMS Research s report The World Market for CCTV & Video Surveillance Equipment.

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6 Products For an easier and safer everyday life Axis customers are always stay one step ahead, thanks to our innovative product portfolio of network cameras and video encoders. Our use of open platforms also allows for a high rate of innovation and allows our products to be used in an increasingly broad range of applications. The products are primarily included in security installations, ranging from solutions for individual stores to comprehensive systems on trains, on motorways at universities, in banks and in retail chains. Streamlining and optimization of the customers transaction flows, for example, in warehouses and within the retail trade are applications where network video products directly contribute to commercial benefit for the customers.

7 Simplicity in the installation As systems become more comprehensive, demand is rising for easy and rapid installations that deliver time savings and lower installation costs. Axis has developed several innovative solutions that simplify installation of the products and thus liberate both time and resources for customers. Image quality Demands on light sensitivity, dynamics, color reproduction and resolution in the network cameras are constantly increasing. In order to continue offering the market s highest quality as regards resolution and image functions, we have developed and released network cameras with marketleading technology for both color reproduction in poor light and clear images in glaring light. A large proportion of all new cameras from Axis are also equipped with HDTV. Remote monitoring Network video offers users the possibility of remote monitoring, which means that they can gain access to video from a computer anywhere. Users get the overall picture of operations in their facilities no matter where they are. This functionality is also beneficial from an enviromental aspect. System integration Video surveillance installations are becoming increasingly complex and easy handling of a large number of the cameras in one system is a challenge. All Axis products are built on open source code. The products are also equipped with AXIS Camera Application Platform, which means that third party applications may be installed in Axis products. By selecting the most suitable application, the user s specific needs can be met.

8 Partners Cooperation for a safer world Axis is growing rapidly within network video in conjunction with 55,000 partners in 179 countries. Through various programs and training courses, Axis supports its partners with the aim that the security installations of end customers should be at the cutting edge. Partnership gives Axis valuable knowledge and insight into needs and opportunities in individual markets as well as in prioritized end customer segments. Axis Channel Partner Program covers system integrators and resellers. The program is designed so that partners can generate business opportunities from Axis market-leading position within the rapidly growing network video market. The program is open to all and creates loyalty, resulting in a cost effective and scalable sales model for Axis. Axis Distributors Axis partners serve as an extension of the company and play a key role in reaching the market. Loyalty, scalability and proximity to the customers are created through a two-stage model, while at the same time, organizational efficiency is maintained. Axis is often highly involved in the process by offering expertise about network video. Axis currently has more than 55,000 partners and reaches about 179 markets. This indirect business model creates geographical breadth and local presence. Resellers End users System integrators Apart from partners in the sales channels, Axis collaborates with over 850 software developers, i.e. Application Development Partners (ADPs), which is an important part of the continued investment in the professional network video market. ADPs develop application software which functions

9 More than 30,000 participants in Academy classroom trainings since 2004 as a complement to Axis proprietary software offering and which gives the end customer access to a large number of applications in order to meet different needs within the customer segments. Partners are continuously trained through participation in the ambitious training program, Axis Communications Academy. The training is designed in order to educate system integrators and resellers in the benefits of network video generally and Axis products in particular; knowledge that is useful in the sales process.

10 Company Thinking big by taking responsibility Since the foundation of Axis, questions relating to sustainability have been a natural part of the company s operations within corporate governance, social responsibility and environment. In 2007, Axis signed the UN Global Compact and thus entered into a contract to observe the UN s ten principles covering human rights, labor law, environment and anti-corruption. Axis attaches great importance to ensuring that employees behave correctly in all business-related situations. The company s Code of Conduct is therefore explicit. It emphasizes the basic principles according to which Axis conducts its operations and handles relationships with its staff, business partners and other stakeholders. Integrated in the business processes Axis develops and supplies network video products which are primarily used in security installations. The right to feel safe and secure is one of the most important basic principals in society, and this is where surveillance systems perform an important function, as long as they are used in accordance with prevailing legislation. Products that are deployed for surveillance or guarding have sometimes been the focus in discussions surrounding privacy.

11 Axis viewpoint is that a surveillance system in itself cannot constitute a violation of privacy. Nevertheless, as with all other equipment, it can be misused. To avoid misuse of the products, Axis attaches great importance to selection and informing partners and resellers. Axis ambition is that environmental considerations shall be applied in the entire value chain, from choice of materials in components to use of the finished product. The latest available technology is used in development of new products in order to minimize energy consumption and the environmental burden of Axis products and solutions. Axis continually evaluates its operations and products in order to increase its knowledge of the environmental impact caused. A clear result of the environmental work is that the products energy consumption has been reduced sharply over time. The cameras have also been designed in a more compact way, which reduces material usage and transportation volumes.

12 50968/EN/R1/1303 About Axis Communications As the market leader in network video, Axis is leading the way to a smarter, safer, more secure world driving the shift from analog to digital video surveillance. Offering network video solutions for professional installations, Axis products and solutions are based on an innovative, open technology platform. Axis has more than 1,400 dedicated employees in 40 locations around the world and cooperates with partners covering 179 countries. Founded in 1984, Axis is a Sweden-based IT company listed on NASDAQ OMX Stockholm under the ticker AXIS. For more information about Axis, please visit Axis Communications AB. AXIS COMMUNICATIONS, AXIS, ETRAX, ARTPEC and VAPIX are registered trademarks or trademark applications of Axis AB in various jurisdictions. All other company names and products are trademarks or registered trademarks of their respective companies. We reserve the right to introduce modifications without notice.